HEALTH AND BEAUTY CAREAn Impact in Limited Space

Adding new product lines—
especially ones traditional grocery businesses have never or
only rarely dealt with—can seem
daunting. But based on industry
data, it is one they must explore
to thrive.

“Just as the store-within-a-store department was at its high-est popularity ;ve years ago, gro-cery is now looking for ‘what’snext’ in order to compete,” saysMechelse. “With the rise of spe-cialty and private label outletsproviding a narrow focus, we seethe best practices taking placewithin Wegmans, where naturaland organic categories are now o;ered as mainstreamselections with broader and deeper o;erings.”That kind of integration, Mechelse says, is a prom-ising approach. “Many of the innovative or alterna-tive options that are highly desired by consumers arebeing integrated throughoutthe aisle alongside larger brando;erings,”And category sales resultshave been promising. AdjacentOTCs were up ;.;;, core OTCswere up ;.;;, vitamins and sup-plements were up ;;, weightmanagement was up ;.;; andcosmeceuticals were up ;;,GMDC data shows.

“These ;categories; are projected to become some of the
key drivers of the health and
wellness aisle by ;;;; and
beyond,” Mechelse says. “We’re
seeing a greater infusion of
health and wellness nonfood
products that should be adjacent to food occasions,
not only to complement but supplement the mindset of
today’s consumer. We feel this focus is the key toward
retail transformation, and that we’re just now approaching the cusp of what is to come.”

Good News on the Health and Wellness Front

The recent Next-Practices for Redefining Category Roles &
Strategies from Global Market Development Center reveals more
shoppers are turning to retailers for health and wellness products
and advice. Among the findings:

; IN ;;
consumers desire
retailers to be
more involved
in their personal
wellness.

;;%
say it would
improve their
impression of
stores if they
o;ered healthy
checkout lanes.

;;%
of consumers
have visited a
retail clinic in the
past year.

Source: 2017 GMDC study in partnership with Nielsen and Rodale

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SUPPLIER PERSPECTIVES

CELSIUS has grown significantly.
Can you bring us up-to-date?

CELSIUS Original RTDs have grown to
an 8-SKU line with both sparkling and
non-carbonated flavors. Our newest
flavor, Kiwi Guava, is ideal for the
Millennials and Hispanic consumers
and has been met with rave reviews.

We’ve also extended our On-the-Go
Powder Stick line (14ct) which is
available in Orange and Berry, and two
NEW flavors: Cranberry Lemon and
Coconut.

Since launching at Expo West 2017,
CELSIUS Naturals has expanded
to include 3 sparkling and 3 non-carbonated flavors, and in 2019 will
be offered in 12ct cases versus 24ct.

The newest CELSIUS product, CELSIUS
HEAT, includes 4 new flavors, bringing
the total HEAT line to 7 skus (12ct
cases). Overall the brand is up 52%

YTD.*

What makes CELSIUS a unique brand
for grocery accounts?

CELSIUS’ varied packages enable
placement in multiple locations
in-store. Single cans can be shelved
in the beverage aisle, cold cooler, and
deli open-air coolers while the HBC
set works well for powders and 4-pks.

Both CELSIUS RTDs and Powder Sticks
are excellent options for e-commerce
extensions of brick-and-mortar retail.